Specifically, the following agreements must be captured in a written contract, and signed by the parties, to be a valid and enforceable contract within the state of Florida: contracts involving the sale of goods worth more than $500; promises made in consideration of marriage; contracts that cannot be performed within one year; contracts for the sale or transfer of an interest in land; a promise by one party to act as a surety (i.e., a personal guarantor) for the debts of another; and a promise by the executor of a will to personally pay the debts of the estate. § 725.01, Fla. Stat. (2012).The purpose of the Statute of Frauds is to prevent one party from committing perjury in regards to an agreement and to also prevent the enforcement of agreements “based on memories made faulty by the lapse of time or loose verbal statements.” Rowland v. Ewell, 174 So.2d 78, 80 (Fla. 2d DCA 1965).

The Statute of Frauds applies to commercial leases that are for a period of one year or longer. Fla. Stat. § 725.01. In other words, a verbal agreement to lease property for any length of time greater than one year is void.

Ocwen appealed the judgment of the trial court. In reversing the trial court, the Fourth District Court of Appeal held that the trial judge’s ruling violated Florida’s State of Frauds, Fla. Stat. 725.01 which provides that: No action shall be brought . . . upon any agreement that is not to be performed within the space of 1 year from the making thereof . . . unless the agreement or promise upon which such action shall be brought, or some note or memorandum thereof shall be in writing and signed by the party to be charged therewith or by some other person by her or him thereunto lawfully authorized. The Fourth District Court of Appeal also rejected the trial courts holding that the application of the above statute could be avoided on promissory estoppel grounds.

One such contract that falls under the statute of frauds is a contract for the sale of real property. Fla. Stat. § 725.01. Case law has placed additional requirements on contracts for the sale of real property, requiring them to be specific as to the parties involved, the subject matter, the parties’ obligations and the consideration. Minsky’s Follies of Fla., Inc. v. Sennes, 206 F.2d 1, 3 (5th Cir. 1953).

The issue in LaRue was whether Florida's statute of frauds barred her claim. Section 725.01, Florida Statutes, provides in part: No action shall be brought . . . upon any agreement that is not to be performed within the space of 1 year from the making thereof . . . unless the agreement or promise upon which such action shall be brought, or some note or memorandum thereof shall be in writing and signed by the party to be charged therewith or by some other person by her or him thereunto lawfully authorized. The statute of frauds, as noted by the court, "was enacted to prevent fraud and the enforcement of claims based on loose verbal statements made faulty by the lapse of time."